Citizens(US:CIA)2024-08-06 20:14Financial Performance - Total revenues increased by 6% to $62.1 million in Q2 2024, up from $58.5 million in the same quarter last year[3] - Net income for Q2 2024 was $4.0 million, or $0.08 per fully diluted Class A share, down from $6.1 million, or $0.12 per share in Q2 2023[6] - Adjusted income before federal income tax for the three months ended June 2024 was $7,131,000, compared to $6,400,000 for the same period in 2023, representing an increase of 11.5%[17] - The total income before federal income tax for the six months ended June 2024 was $8,227,000, down from $12,759,000 for the same period in 2023, a decrease of 35.5%[17] Insurance and Premiums - Insurance issued reached a record $295.2 million in Q2 2024, an 86% increase compared to Q2 2023, driven by new products and an increase in producing agents[2] - Direct first year life and A&H premiums increased by 85% to $7.9 million in Q2 2024, marking the seventh consecutive quarter of year-over-year growth[3] - The company aims to increase first year premium revenues by at least 25% and expand its global network of producing agents by at least 20% in 2024[4] Assets and Equity - Cash and cash equivalents stood at $26.3 million with no debt as of June 30, 2024[8] - Stockholders' equity, excluding accumulated other comprehensive income (AOCI), increased to $299,393,000 as of June 2024, up from $275,209,000 as of March 2023, reflecting a growth of 8.5%[18] - Book value per Class A share increased by 30% to $3.85 compared to the same quarter last year[3] - Book value per Class A common share, diluted, excluding AOCI, rose to $6.02 as of June 2024, compared to $5.55 as of March 2023, indicating an increase of 8.5%[18] Expenses and Losses - Total benefits and expenses increased by $6.3 million to $58.8 million in Q2 2024, primarily due to higher matured endowments and increased general expenses[5] - The company reported a loss of $3,500,000 related to legal fee accrual for the three months ended June 2024[17] - Investment-related losses for the three months ended June 2024 were $(253,000), compared to gains of $703,000 for the same period in 2023[17] Operational Strategy and Future Outlook - The company anticipates continued growth in operational strategy and capital expenditures, although specific future performance is subject to risks and uncertainties[19] - The company has not provided specific guidance for future earnings but emphasizes the importance of monitoring market conditions and regulatory changes[19] - The company has no obligation to update forward-looking statements, which may involve risks and uncertainties that could affect actual outcomes[19] Agent Network - The global network of producing agents increased by 45% since December 31, 2023, with a 21% increase in Q2 2024 alone[2] - The accumulated other comprehensive income (loss) decreased from $(128,363,000) as of March 2023 to $(107,924,000) as of June 2024, indicating an improvement in comprehensive income[18]